Ministry takes action against fake discount

The Ministry of Commerce and Industry has closed down two branches of a prominent retail group in Jeddah after complaints of fake discounts on its sales of electronic products.
The ministry also posted the announcement on the social networking site Twitter with three photos confirming the closure of the two branches of eXtra and said that it had taken punitive action against other outlets following customer complaints.
A number of customers said that the store was offering a 15 percent discount on some products but in fact, there was no change in the prices. On the other hand, there was a raise in the rates of other products indicating a clear manipulation of prices.
“The Ministry of Commerce and Industry will continue to monitor discount announcements made by stores and ensure their commitment to local laws,” a ministry statement said.
The cases of violation, classified as commercial fraud, have been referred to the Investigation and Prosecution Department for further action.
The ministry stressed that all shops, trading facilities and selling points should abide by the law and put price tags on their displayed items.
The ministry pointed out that inspections will be carried out to ensure that prices are shown on items and that violating shops will be reported.